Stocks fall as rally gives way to US-China trade war worries
Stocks slumped Thursday and bond prices spiked after President Donald Trump surprised markets with a new 10% tariff on $300 billion worth of goods from China beginning next month. The news erased a broad rally on Wall Street, leading to the market’s fourth straight loss. Bond prices surged, sending yields sharply lower, as investors sought safety.
Trump says he’ll put 10% tariffs on remaining China imports
WASHINGTON (AP) — President Donald Trump intensified pressure on China to reach a trade deal by saying he will impose 10% tariffs Sept. 1 on the remaining $300 billion in Chinese imports he hasn’t already taxed. The move immediately sent stock prices sinking. The president has already imposed 25% tariffs on $250 billion in Chinese products, and Beijing has retaliated by taxing $110 billion in U.S. goods.
WASHINGTON (AP) — E-cigarette giant Juul Labs donated nearly $100,000 to members of Congress during the first half of 2019, according to a Federal Election Commission report released Thursday that shows the bulk of the money went to Democrats. The campaign contributions from Juul’s political action committee are the latest sign of the company’s expanding influence operation in Washington and around the country.
Health care comes in focus, this time as risk for Democrats
WASHINGTON (AP) — Health care is back as the focus of presidential politics. But Democrats split over “Medicare for All” run a risk with voters wary of disruptions to employer health insurance. Divisions were on display in the two Democratic debates this week, with Sens. Bernie Sanders and Elizabeth Warren being the clearest in calling for a complete switch to government-run health insurance for all. But employer coverage is popular, with more than 8 in 10 people rating their job-based plan as good or excellent.
APNewsbreak: FBI: Amazon drivers part of major theft ring
SEATTLE (AP) — The FBI says a Washington state theft ring sold millions of dollars’ worth of stolen goods on Amazon.com, and a pair of Amazon delivery drivers was involved. According to a search warrant affidavit reviewed by The Associated Press, two storefront businesses posing as pawn shops bought the goods from shoplifters before reselling them online. The affidavit says two contract Amazon drivers whose job was to pick up items being returned to the company instead provided them to the pawn shops.
Congress wants Capital One, Amazon to explain data breach
WASHINGTON (AP) — Leaders of House and Senate committees want Capital One and Amazon to explain to Congress how a hacker accessed personal information from more than 100 million Capital One credit applications. The incident was the latest massive data breach at a large company. The top Republican on the House Oversight and Reform Committee has asked for a staff-level briefing by Aug. 15. And the Senate Banking, Housing and Urban Affairs Committee will look into the matter.
Fed chief struggles to manage a wild card: Trump trade wars
WASHINGTON (AP) — The Federal Reserve is supposed to set interest rates based on gauges of inflation and employment. But President Donald Trump has injected a wild card into the mix with his combative trade wars and tariffs on imports. The resulting economic uncertainties, Powell said, had significantly influenced the Fed’s decision to cut rates.
Jury weighs what Katy Perry owes for hit they say she stole
LOS ANGELES (AP) — Jurors are deciding how much Katy Perry, her collaborators and her record label owe the writers of a Christian rap song over her hit “Dark Horse.” The jury has found that the pop song improperly copied from Marcus Gray’s song “Joyful Noise” and has started deliberating over the amount Thursday. Gray’s attorneys argue that he should get nearly $20 million, or nearly half the song’s earnings. Attorneys for Perry and her co-defendants say the proper figure is about $360,000.
The S&P 500 index dropped 26.82 points, or 0.9%, to 2,953.56. The Dow Jones Industrial Average fell 280.85 points, or 1%, to 26,583.42. The Nasdaq composite lost 64.30 points, or 0.8%, or 8,111.12. The Russell 2000 index of small companies slid 23.84 points, or 1.5%, to 1,550.76.